The Group of Seven (G7) leading economies today said they “strongly welcome” the US Government’s $700 billion (£379 billion)plan to bail out the American banking system amid political wrangling over whether UK and mainland European companies should be included in the deal.

In a statement, the G7 said: “We pledge to enhance international cooperation to address the ongoing challenges in the global economy and world markets and maintain heightened close cooperation between finance ministries, central banks and regulators.

“We are ready to take whatever actions may be necessary, individually and collectively, to ensure the stability of the international financial system.”

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Today’s statement follows calls from Henry Paulson, the US Treasury Secretary who is spearheading the US bailout, that other countries should follow America’s example.

He said: “I’m going to be pressing our colleagues around the world to design similar programmes for their banks and institutions. Our system is a global one.”

Earlier today, Chancellor Alistair Darling told delegates at the Labour Party conference in Manchester that global governments must work together to stabilise financial markets but stopped short of announcing any US-style bailout.

A d v e r t i s e m e n t

He said: “Just as one government alone cannot combat global terrorism, just as one government alone cannot deal with climate change, one government alone cannot deal with the impact of globalisation.”